REGISTRATION OF CHARGE
According to the provisions of Section 77 of the Companies Act, 2013, a Company has to create charge with the Registrar within 30 days of its creation.
However, the Registrar may allow registration of charge within 60 days of its creation on payment of such additional fees as may be prescribed.
If the Company fails to register the charge within 60 days then the Registrar may allow further 60 days (i.e. 30+30+60 days) after payment of such additional and ad valorem fees as may be prescribed.
Table of Additional Fees/ Advalorem Fees
|
Time Period (In Days) |
Fees |
Type of Company |
|
|
Small Company and OPC |
Other Than Small and OPC |
||
|
Within 30 days of Creation |
Normal Fees |
Normal Fees |
Normal Fees |
|
Within 60 days of Creation |
Normal Fees + Additional Fees |
3 Times of Normal Fees |
6 Times of Normal Fees |
|
After 60 days but within 120 days of Creation |
Normal Fees + Additional Fees+ Advalorem Fees |
3 Times of Normal Fees + Ad valorem Fee of 0.025% of Amount secured by Charge, Subject to Maximum 1 Lakh Rupees. |
6 Times of Normal Fees Ad valorem Fee of 0.05% of Amount secured by Charge, Subject to Maximum 5 Lakh Rupees. |
Condonation of delay shall not be available after 02nd November, 2018
Registration of the Charge created before 02nd November, 2018
As per section 77 of the Companies Act, 2013 any charge created before 02nd November, 2018 has to be registered within 30 days of its Creation.
If the said charge is not registered within 30 days, then register may allow such registration within 300 days of Creation on payment of such additional fees as may be prescribed.
Further if the company fails to register the charge within 300 days, it may seek extension of time in accordance with Section 87 from the Central Government.
SATISFACTION OF CHARGE
According to the provisions of section 82 of the Companies Act, 2013 Company shall give intimation to Registrar regarding payment or satisfaction of charge within a period of 30 days from the date of such payment or satisfaction.
If the company fails to file satisfaction of charge within the said 30 days then the same shall be filed within 300 days on such additional fees as may be prescribed.
And if the satisfaction of charge is not filed within 300 days, then the Company shall first file condonation of delay with Regional Director and only then file satisfaction with Registrar.
Table of Additional Fees/ Advalorem Fees
|
Time Period (In Days) |
Fees |
|
|
Within 30 days of Satisfaction of Charge |
Normal Fees |
|
|
Within 300 days of Satisfaction of Charge |
Normal Fees + Additional Fees |
|
|
After 300 days of Satisfaction of Charge |
Normal Fees + Additional Fees+ Condonation Fees |
The author can also be reached at csneharedekar@gmail.com
Disclaimer: Please note that the above article is based on the interpretation of related laws, which may differ from person to person and is not legal advice.
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